Rich Fitzgerald: Portable benefits system would protect gig workers
As we turn the past year, and look ahead to a better 2021, it’s also time to continue to build on our strengths, which became all the more evident during this pandemic.
Our southwest Pennsylvania region has a diverse economy and has been fortunate to see growth in both traditional and gig employment during this time. While gig workers were a significant portion of our economy before, those workers now have even more opportunities as they provide resources that our residents are relying upon deal with the impact of covid-19 on their daily lives. In order to ensure that all workers thrive, we must find a way to make crucial benefits available and portable for gig employees which will, in turn, grow our economy and make the futures of all residents stronger.
With a new Congress just sworn in, creating a portable benefits system for these workers should be a top priority as the gig economy continues to grow. Democrats ran and won on commitments to pass meaningful legislation that would improve the lives of workers and bring our social safety net into the 21st century. Now is the time to deliver.
Employees who work more traditional jobs typically receive benefits through their full-time employers. Gig workers, however, choose gig work over traditional jobs for the unmatched freedom and flexibility. The modern business model of the gig economy allows workers to set their own schedules, work on their own time, and contract for multiple companies. Without a system of important protections like health care, retirement, and paid family and medical leave, however, these workers may also live in a constant state of worry.
That’s where the idea of portable benefits comes to play.
A portable benefits system would give workers the best of both worlds — flexibility and protections. Both the worker and his or her respective company would pay into the plan, and the plan would stay with the worker if he or she picked up a new gig or started contracting for someone new. Switching gigs and holding multiple jobs is common among gig workers, so if a worker changed jobs, his or her new company would be the one paying into the plan. That way, workers would have the comfort of knowing that their benefits would not go anywhere.
Portable benefits is a modern solution for a modern workforce that will provide benefits to over 57 million workers in the United States while also protecting their flexibility.
Some members of Congress have already been leaders in the fight for portable benefits, such as Sen. Mark Warner, D-Va., and Rep. Suzan DelBene, D-Wash. This is a commonsense idea that Democrats across the political spectrum should be able to support, from moderates like the New Democrat Coalition in the House and Sen. Joe Manchin, D-W.Va., in the Senate to the Progressive Caucus.
As we all try to put the last four years behind us, we need our new Democratic majorities to make sure our gig workers aren’t left behind any longer and have access to the benefits they need while being able to keep the independent and flexible work they love and depend on.
Rich Fitzgerald is Allegheny County executive.
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